Question
The following relations describle monthly demand and supply for a computer support service catering to small business Qd = 1500 - 5p Qs = -500
The following relations describle monthly demand and supply for a computer support service catering to small business
Qd = 1500 - 5p
Qs = -500 + 5p
a. Find the equilibrium price / output level
b. Calculate point elasticity of demand for this demand function. Is it elastic, inelastic or unitary elastic?
c. Calculate the total revenue at equilibrium price.
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Principles Of Microeconomics
Authors: N Gregory Mankiw
9th Edition
035713348X, 9780357133484
